Series 3 Exam Study Training and Futures Market Careers

This Blog is to help and give information on the Series 3 Commodities and Futures Exam and License. We also provide information on the Series 30, Series 31 and Series 34 Licensing Exams. None of the these tests, including the Series 3 requires Sponsorship from a firm. These can be taken independently with the help of American Investment Training. We offer help and tutor assistance along with full online courses and hard cover Series 3 Material.

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Thursday, April 6, 2017

Pass the Series 31 Futures Managed Funds Exam with this updated study material from American Investment Training

75 pages with chapter exams after each section. Chapter and final exam questions with detailed answers.

For securities brokers who limit their futures business to futures funds. Passing the Series 31 exam allows registered representatives to receive trailing commissions from their sales of futures fund interests without having to take the Series 3 exam. 10-20 hours of study time is recommended.

Monday, October 17, 2016

Transfer Pricing; Methods, Advantages and Disadvantages

By Candice Manko,

When a company decides to add other facilities in another state or even more so, when they choose to trade internationally, then they must act in accordance with the complex process of transfer pricing. Transfer pricing is known as the rates or prices that are established when selling goods or services between company departments, divisions, or even between a parent company and a subsidiary. Just in case you aren't aware, a parent company is what's known as a company who takes control over another company (or several companies) by owning a significant amount of it's voting stock. Whereas a subsidiary would be a company of which is owned and controlled by another. When it is used correctly, one of the many advantages of transfer pricing is that it can assist the company in managing its profit and loss ratios more efficiently. However, one of the most common disadvantages the company must look out for is double taxation. There are various methods and options that a company can pick and choose from in order to try and work their way through their desired advantages and undesired disadvantages.

Companies have three general methods that they can choose from when establishing their transfer pricing and each of them have their own advantages and disadvantages as well. The first option would be market-based transfer pricing, which is an act of pricing based off of a competitive and stable external market that is concerned with a similar transferred product or service. Through this method, the transfer will occur when it is in the best interests of the shareholders. If the shareholders do not prefer the transfer, it will be refused by at least one of the divisional managers. However, one of the disadvantages is that the prices for some commodities can undergo unpredictable price changes and can fluctuate widely and quickly. A second option could be cost-based transfer pricing, through which the pricing is based on the production costs. This method would require the specified notation of any costs (actual or budgeted, full or variable, as well as the amount of added markups, if any). Adding a markup to costs would be the result of adding a set amount to the cost of goods or services, which would then be charged to the buyer. One possible disadvantage of this method is the chance that the buyer might be able to source the product that is needed at a lower cost elsewhere. Lastly, the third method would be negotiated transfer prices, which is when the divisional managers negotiate a mutually agreeable price. One of the advantages of this method is that it creates the concept of which division managers buy and sell from one another in a manner that stimulates arm's length transactions. However, it is not guaranteed that the outcome of these price negotiations will serve the best interests of the company or the shareholders. Therefore the transfer price doesn't necessarily depend on profit-maximizing production and sourcing decisions, instead it could mainly depend on whichever manager is the better poker player.

One general advantage that all companies involved in transfer pricing can look out for and try to manage on their own, would be to establish high transfer prices for their goods and services and transfer them to a unit that is located in a jurisdiction that has low tax rates. This will result in the company having more revenue that is subjected to a lower tax rate and less revenue that is subjected to a higher tax rate. However, when the goods and services are traded in the opposite direction, from a low-tax rate jurisdiction to a higher tax rate jurisdiction, it is better to set the transfer price to as low as possible. This is not an illegal or bad way of working the system; in fact, in a way it sort of helps the shareholders out by creating ways to avoid paying unnecessary taxes.

A key element when working with transfer pricing is to maintain a buyer-seller relationship between units of a single company. Even though owners may not think that one location selling parts or services to another unit falls under this category, the various taxing authorities may think otherwise. This leads to a common disadvantage that unfortunately many companies that are involved in transfer pricing within different taxation authorities or jurisdictions have to deal with, which is double taxation. Double taxation occurs when a company is forced to obey the taxation authorities of two jurisdictions due to overlapping or conflicting tax laws and regulations. When companies are dealing with companies in another state it might be a good idea for them to look into their tax laws and regulations first to be sure of what method to choose when they begin their transfer pricing. It's a difficult process already to handle a business within one state, let alone having to prepare multiple tax filings and understand and follow multiple taxation methods as well. Nonetheless, it is better for a company who is involved in transfer pricing to have a knowledgeable understanding of the different ways they can increase their chances of experiencing the advantages while decreasing their chances of experiencing disadvantages.

Thursday, July 7, 2016

Almost every person wishes to turn their business know how into a profitable venture, and it is commodities and futures trading that helps them get there. Basically commodities are items like, wheat, corn, gold and silver, and Cattle and Pork Bellies, Crude Oil and etc.When farmers take their crop to "market", they are selling commodities.Trading commodities is the world's one perfect business for Commodity Brokers. The upside potential is unlimited and you can control the downside. People can trade commodities on a part time basis or a full-time basis. You can spend as little as an hour or two a day yet earn a full-time income.Who are Commodity Brokers ?Commodity Brokers are people that are dedicated to providing their clients with the knowledge and guidance needed to succeed in trading the future markets like corn, soybeans, wheat, crude oil, unleaded gas, gold, silver, and many more.Brokers make sure that when an order is filled, you will be called promptly. Brokers are now successfully employed after he receives his broker's license and built up a client base during his internship.In the present modern age of investing, commodity trading has emerged as an important player in the way many people invest. Commodity Brokers developed it as a reaction to the way the business is conducted, and it continues today in the form of commodities trading online.Brokers keep in touch with the volatile agricultural markets & offer the best deals at current prevailing market rates to their customers. The Commodity Brokers are your eyes and ears to the futures marketplace. They have to first sell or price the crop locally and then purchase an at-the-money.Brokers are forced to trade places with a black street hustler. They provide professional services for all sorts of commodity investors. Commodity Brokers collect commission and offer professional assistance.Brokers are touting futures as a way to protect investors retirement-plan money against a downturn in the high-flying stock market. They use their experience to maximize customer gain. The established Commodity Brokers have the resources and network to provide sound investment advice. A commodities broker provides personal service to meet company or individual needs.The Brokers can assist with your specific investment strategy. Some Commodity Brokers focus on a specific group of commodities and futures, while others offer diverse investment options. Brokers also serve regional or global markets.Commodity Brokers research should be conducted when considering the purchase of commodity futures or their various options. Commodity research should include the actual good being traded and the terms of the contract being exchanged. A wise investor conducts proper commodity research before deciding on a commodity investment.Commodity research by the Brokers can be conducted in the traditional form of a library, trade journal, or market report. More recently, it has been made available through the Internet. Many websites make commodity research easy by providing information on specific commodities, market forecasts, and historical reports.Commodity Brokers not only closely track the commodities future options, but they also analyze and report in many financial publications. Some publications issue reports on commodities futures options monthly, while others issue daily summaries.From one commodity market to the other, many commodity futures options are available to the Brokers . Exchanges of contracts and various goods take place in commodities futures options every day. Time invested in researching commodities futures options can prove to be profitable.Often Commodity Brokers will provide you with insight needed to form a fair price on commodities. There is a great skill involved and it is not as simple as being able to pour through commodities reports. Without the advantages of a Broker the average person would need to devote a good deal of time and effort to understand all that is involved.With their assistance, you will benefit from having an authority to consult with, someone who can guide you and who genuinely wants to see you succeed in your profit making skills as a commodities investor.Thus, we can summarize this saying that good Commodity Brokers will help you to make sense of the often complicated world of commodities futures trading. Having the knack to determine the prices of unfinished goods does not come easily to most.They are there to help you determine what the price of a particular commodity should be.By William SmithBecome a Licensed Series 3 Commodities and Futures Trader $$$

Tuesday, June 7, 2016

We have a firm who is hiring commodities broker and forex traders where you can work from home.

No experience is needed. We will train. I'm also hiring independent financial adviser trainees. This is a legitimate 6 figure industry. We need people. Some will not make the money others do, but those that do, made it from their drive and motivation.

This Position carries a monthly training allowance/salary of $800 per month (min of 30 hrs per week) plus unlimited commission/bonus once you get going or you can work part time for commission and bonus only.

Saturday, May 21, 2016

The Series 4 exam is for managers supervising options sales personnel or supervising compliance for a FINRA brokerage firm. You must have a Series 7 license before taking the Series 4 exam. All Course Material is updated for current questions. Our Series 4 training course covers all of the topics that are needed to pass the Registered Options Principal Exam.